New Jersey Division of Investment, Trenton, committed $300 million to four hedge funds, the $72.9 billion system's first foray into that asset class. On Thursday, the State Investment Council, which oversees the system's assets, agreed to commit $100 million to a hedge fund run by Barclays Global Investors, $85 million to Superfund AG, $65 million to Archipelago Partners and $50 million to Och-Ziff Capital Management.
At the meeting, William G. Clark, director of the division of investment, said officials planned to lengthen the duration of the fund's $17.2 billion fixed-income portfolio. Currently, the portfolio is benchmarked to the Lehman Aggregate index.
In addition, the council approved new regulations that would give officials greater latitude in investing in emerging markets. Currently, regulations restrict such investments to five markets. "For the purposes of our existing regulations, places like China, India and Indonesia do not exist," Orin Kramer, council chairman, said in a telephone interview.